Service Agreement Format

When and how to use this letter

Use this agreement before starting any paid service work, whether you are a freelancer, an agency, or a company hiring a vendor. Sign it after the quote is accepted and before the first deliverable is due.

Email a PDF for e-signature or print two copies for wet signatures. For ongoing monthly services, a signed PDF exchanged by email is standard practice; for high-value or long-term engagements, printed originals are safer.

Write in plain, direct language. The most important sentence is the scope clause: list exactly what is included and state that anything else needs a separate quote. Vague scope is the number one cause of unpaid extra work.

Include what to avoid: never start work on a verbal promise alone, and never accept open-ended revision clauses like unlimited revisions. Cap revisions at a number, define what counts as a revision, and price extra rounds. Also avoid starting without payment terms in writing, including late fees.

What happens next: once signed, confirm the first milestone date in writing and set up your invoicing schedule. A non-obvious tip that saves freelancers every year: add a kill fee clause for projects cancelled mid-way, so a cancelled project still pays for work done. Review the agreement before each renewal period and update the fee to reflect your current rates.

Frequently asked questions

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